May 10 (Bloomberg) -- Colville Equities Ltd., a New Zealand investment company, may sell as much as NZ$75 million ($46 million) of shares in an initial public offering.

Milford Asset Management Ltd. will manage Colville and its investment portfolio, Colville Chairman James Ogden said in a statement e-mailed to Bloomberg News. Colville will invest in publicly traded New Zealand companies, closely held local companies that intend to list with two years and Australian companies with business interests in New Zealand, it said.

Colville will offer 50 million shares at NZ$1 each next Monday with the right to accept NZ$25 million of over subscriptions, it said. Investors will also receive one option for every two shares allocated, entitling them to buy a share in March 2006 for NZ$1, the Auckland-based company said.

Milford is a funds management company established by Alan Moore, Graeme Thomas, Neville Todd and Richard Somerville. Investment analyst Brian Gaynor joined the company this year.

To contact the reporter on this story: Tracy Withers in Wellington, New Zealand at twithers@bloomberg.net.

Last Updated: May 9, 2004 18:19 EDT